Northport is state’s 7th most business-friendly city

Wednesday

Apr 10, 2013 at 12:01 AM

Northport was ranked as the state’s seventh most business-friendly city by a state organization that promotes free enterprise.

By Patrick RupinskiBusiness Editor

Northport was ranked as the state’s seventh most business-friendly city by a state organization that promotes free enterprise.The Alabama Policy Institute ranked the state’s 50 largest cities after evaluating their economic vitality, business tax burden, community allure and transportation infrastructure.The institute ranked Tuscaloosa as 21st. No other central West Alabama cities were among the state’s 50 largest cities. “That’s very exciting” said Northport Mayor Bobby Herndon, when he learned of the city’s ranking. “We are hungry for all the business we can get.”That eagerness to attract more business has resulted in Northport being more proactive in recruiting and retaining businesses, Herndon said. And that in turn is being recognized, he said. “In the past, there used to be a general impression that we were not very business-friendly” he said.When he became mayor five years ago, Herndon said he vowed with the City Council to change that perception and work to welcome and recruit new business while retaining existing businesses.“Whenever there is a new business coming in, I will try to go out during construction and tell them how much we appreciate them,” he said.The city’s employees also have been trained to assist those wanting to start businesses and make City Hall a one-stop place to get their questions answered. Last year, Northport hired its first economic development director — Alan Harper, a state representative who had a similar post in Aliceville. The Alabama Policy Institute describes itself as an independent, nonprofit organization dedicated to defending and promoting free markets, limited government, fiscal responsibility and strong families through in-depth research and analysis of Alabama’s public policy issues.Its business-friendly cities analysis said the state’s “most business-friendly cities possess responsible, limited governance, reasonable tax rates, quality school systems, low crime, access to transportation infrastructure and a thriving economy despite the significant economic challenges over the last several years.“Most of the state’s top 10 business-friendly cities look like Fairhope and Millbrook, which possess small but growing populations, access to transportation and room to grow geographically.In rating the cities, the institute staff used a formula in which 35 percent of a city’s score was based on its economic vitality. Recent job growth accounted for half that score, population growth accounted for 25 percent and 25 percent was based on median per capita income.The business tax burden accounted for 30 percent of a city’s overall score, with business property taxes comprising 70 percent of that category’s total and local sales taxes comprising the other 30 percent.Community allure accounted for 20 percent of the overall score. Its largest subcategory was cost of living index, which comprised 35 percent of the category’s total, followed by those at least 25 years old with a high school diploma, 15 percent; and average SAT 10 scores for 8th-grade math and reading.The final category, transportation infrastructure accounted for 15 percent of the total score, with subcategories of distance to a commercial service airport, distance to commercial rail service, distance to a port capable of handling container shipping and distance to an interstate highway each making up 25 percent of that category’s score.The full report with its ranking breakdowns by categories for all 50 cities can be viewed online at the Alabama Policy Institute’s website under Research.